• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to secondary sidebar
  • Skip to footer
  • NEWS:
  • SatNews
  • SatMagazine
  • MilSatMagazine
  • SmallSat News
  • |     EVENTS:
  • SmallSat Symposium
  • Satellite Innovation
  • MilSat Symposium
  • SmallSat Europe

SatNews

Satellite Industry Intelligence Since 1983

Subscribe
  • LATEST
  • SatNews Events
  • Magazines
  • Calendar
  • Subscribe
  • Missions & Constellations
    • Exploration & Science Missions
    • In-Orbit Servicing & Orbital Operations
    • LEO Constellations
    • Mission Autonomy & Onboard Systems
    • Mission Deployments & Manifests
    • Navigation & PNT
    • SmallSat
    • Spacecraft & Payload Technology
    View All in Missions & Constellations →
    Silicon Sensing Launches Zenith Closed-Loop MEMS Accelerometer for Spacecraft StabilizationSilicon Sensing Launches Zenith Closed-Loop MEMS Accelerometer for Spacecraft Stabilization
    Shield AI and Sedaro Validate On-Orbit AI Pilot and Edge Autonomy Onboard LEO SatelliteShield AI and Sedaro Validate On-Orbit AI Pilot and Edge Autonomy Onboard LEO Satellite
    Kongsberg NanoAvionics Unveils 500 kg MP42D Platform and Defense-Focused Gen-2 Satellite LineupKongsberg NanoAvionics Unveils 500 kg MP42D Platform and Defense-Focused Gen-2 Satellite Lineup
    ICEYE Establishes Indian Subsidiary to Supply Sovereign SAR Intelligence and Domestic ManufacturingICEYE Establishes Indian Subsidiary to Supply Sovereign SAR Intelligence and Domestic Manufacturing
  • Business
    • Contracts & Commercial Deals
    • Earnings & Financial Reporting
    • Events & Conferences
    • Funding & Venture Capital
    • Market Forecasts
    • Mergers & Acquisitions
    • Personnel Moves & Appointments
    View All in Business & Finance →
    T-Mobile CFO Cites Physical Laws Limiting Satellite Direct-to-Device Networks to Complementary CoverageT-Mobile CFO Cites Physical Laws Limiting Satellite Direct-to-Device Networks to Complementary Coverage
    Silicon Valley Space Week Speaker Focus: Dr. David Denhard, U.S. Space CommandSilicon Valley Space Week Speaker Focus: Dr. David Denhard, U.S. Space Command
    Sovereign Satellite Strategy Expands AST SpaceMobile Backlog Amid Constellation Deployment RisksSovereign Satellite Strategy Expands AST SpaceMobile Backlog Amid Constellation Deployment Risks
    Shanghai Spacecom Raises 7 Billion Yuan Series B Round at $6.96 Billion ValuationShanghai Spacecom Raises 7 Billion Yuan Series B Round at $6.96 Billion Valuation
  • Defense
    • Counterspace & ASAT
    • Defense Budgets & Procurement
    • ISR & Reconnaissance
    • MILSATCOM
    • Missile Warning & Defense
    • National Security Programs
    • Space Domain Awareness
    View All in Military & Defense →
    Ground Infrastructure Vulnerabilities Accelerate Industry Transition to Cloud-Based SATCOM VirtualizationGround Infrastructure Vulnerabilities Accelerate Industry Transition to Cloud-Based SATCOM Virtualization
    ThinKom Awarded $49 Million U.S. Army OTA Contract for Mobile C-UAS High-Power Microwave PrototypeThinKom Awarded $49 Million U.S. Army OTA Contract for Mobile C-UAS High-Power Microwave Prototype
    Viasat Selects Rocket Lab to Build Small GEO Satellite Bus for Space Force PTS-G ProgramViasat Selects Rocket Lab to Build Small GEO Satellite Bus for Space Force PTS-G Program
    Integrasys Awarded €2.89 Million in Luxembourg Defense R&D ProjectsIntegrasys Awarded €2.89 Million in Luxembourg Defense R&D Projects
  • Gov
    • Export Controls & Compliance
    • International Space Agreements
    • National Space Policy
    • Space Law & Treaties
    • Space Sustainability & Debris Policy
    • Space Traffic Management / Debris Removal
    View All in Government & Regulation →
    Satellite Industry Association Endorses White House Space Transportation Policy DirectiveSatellite Industry Association Endorses White House Space Transportation Policy Directive
    DarkSky International Petitions Full FCC to Overturn Approval of Reflect Orbital’s Space-Mirror SatelliteDarkSky International Petitions Full FCC to Overturn Approval of Reflect Orbital’s Space-Mirror Satellite
    FCC Opens Proceeding to Unlock 200 MHz of Unlicensed Spectrum for Direct-to-Device Satellite LinksFCC Opens Proceeding to Unlock 200 MHz of Unlicensed Spectrum for Direct-to-Device Satellite Links
    SpaceX Regulatory Strategy at the FCC: Disruptive Expansion Meets Administrative OversightSpaceX Regulatory Strategy at the FCC: Disruptive Expansion Meets Administrative Oversight
  • Launch
    • Launch Providers
    • Launch Schedule & Calendars
    • Launch Sites & Infrastructure
    • Rocket Technology & Vehicles
    View All in Launch →
    NASA Roman Space Telescope Passes Flight Readiness Review Ahead of SpaceX Falcon Heavy LaunchNASA Roman Space Telescope Passes Flight Readiness Review Ahead of SpaceX Falcon Heavy Launch
    ISRO Transitions Rocket Manufacturing to Domestic Private Sector to Scale India’s Space EconomyISRO Transitions Rocket Manufacturing to Domestic Private Sector to Scale India’s Space Economy
    United Launch Alliance Upsizes Private Bond Offering to $1.5 Billion to Fund Infrastructure ExpansionUnited Launch Alliance Upsizes Private Bond Offering to $1.5 Billion to Fund Infrastructure Expansion
    INNOSPACE Terminates Initial Flight Test of SEBIT Suborbital Rocket Following Trajectory AnomalyINNOSPACE Terminates Initial Flight Test of SEBIT Suborbital Rocket Following Trajectory Anomaly
  • Software
    • Autonomous Ground Operations
    • Data Processing & AI/ML
    • Digital Twins & Modeling
    • Ground Segment & Teleports
    • Mission Planning & Simulation
    • Space Systems Software Engineering
    • Spectrum & Licensing
    View All in Software Automation & Ground Systems →
    Astrolight Advances End-to-End Lasercom Network to Address Orbital Bandwidth and Spectrum BottlenecksAstrolight Advances End-to-End Lasercom Network to Address Orbital Bandwidth and Spectrum Bottlenecks
    Intellian Unveils CM100 GMDSS Terminal Built for Iridium Certus 100 Safety NetworkIntellian Unveils CM100 GMDSS Terminal Built for Iridium Certus 100 Safety Network
    NASA Joins Federal Genesis Mission Initiative to Process 150 Petabytes of Space Data via AI ArchitecturesNASA Joins Federal Genesis Mission Initiative to Process 150 Petabytes of Space Data via AI Architectures
    IHI Corporation and Kuva Space Partner to Evaluate Japanese Sovereign Hyperspectral ConstellationIHI Corporation and Kuva Space Partner to Evaluate Japanese Sovereign Hyperspectral Constellation
  • Services & Apps
    • Climate & Environmental Monitoring
    • Disaster Response & Security Mapping
    • Earth Observation & Imaging
    • Maritime & Aviation Satcom
    • Satellite Communications
    View All in Services & Applications →
    Astrolight Advances Open-Standard Lasercom Architecture for Multi-Vendor Space NetworksAstrolight Advances Open-Standard Lasercom Architecture for Multi-Vendor Space Networks
    Lynk Global and Omnispace Complete Merger to Form Direct-to-Device Operator Elveo MobileLynk Global and Omnispace Complete Merger to Form Direct-to-Device Operator Elveo Mobile
    Planet Labs Secures Seven-Figure Agricultural Data Contract with Scottish GovernmentPlanet Labs Secures Seven-Figure Agricultural Data Contract with Scottish Government
    Nilesat Secures Tier 4 WTA Certification for Cairo Teleport InfrastructureNilesat Secures Tier 4 WTA Certification for Cairo Teleport Infrastructure

ESA spells out satellite benefits – and risks

May 3, 2026

Chris Forrester — As a regular reader of this site you will no doubt be aware of the benefits that satellites give humanity. But a major study on April 30 from the European Space Agency (ESA) reminds us of the aids provided by satellites in zones of interest outside our individual specialities.

The risks

And the benefits are not just considerable but in most cases they are growing in influence and revenues. But so are the risks associated with the failure of a sector.

The ESA study admits that its risk forecasts are hypothetical – and its numbers are very much focused on its European members – and Canada. Nevertheless, the predictions are by any measure worrying. It admits that in some sectors (and specifically mentions direct-to-device (D2D) connectivity) the forecasts could be underestimating the actual probabilities. As for D2D which ESA admits is a technology that is evolving quickly, “and [become] more automated, data-driven sectors, the potential economic consequences of future outages are likely to be even greater.”   In other words, the upside benefits are immense, but so might the consequences be of a sector’s failure.

“The sudden loss of satellite communications would lead to widespread disruption, affecting vital services such as air travel, maritime logistics and emergency response with an estimated economic impact of up to €20 billion. To highlight the economic importance of satellite-enabled connectivity, London Economics prepared a report for the European Space Agency, examining the effects of a hypothetical week-long outage of satellite communications across ESA Member States and Canada,” says ESA.

We only have to look at the current problems which revolve around the Straits of Hormuz and the impact from the stoppage of the flow of oil.  The ESA report suggests that Maritime and Aviation “would suffer the greatest financial losses during a [satellite] outage”. ESA adds: “Maritime shipping supports the transport of essential goods for manufacturing, energy, food, and retail sectors. The interruption of satellite services would critically disrupt supply chains, affecting not only shipping companies but also related industries such as port operations and warehousing. The projected economic loss is approximately €19 billion, consisting of €3.5 billion in direct impacts and €15.5 billion in indirect effects related mainly to supply-chain logistics,” says ESA.

Air passengers are – at long last – beginning to enjoy ‘gate-to-gate’ connectivity thanks to much improved satellite communications for In-Flight broadband. But ESA is blunt: “In aviation, lack of satellite connectivity for air traffic management could result in the cancellation or delay of around 4,000 transatlantic flights, leading to approximately 1,800 hours of cumulative delays. The economic loss to the sector is estimated at €558.7 million.”

Despite the benefits of the likes of Starlink, and the upcoming offerings from AST SpaceMobile, Amazon Leo, Telesat Lightspeed, Viasat/Space42 Equatys and the existing services from Eutelsat OneWeb and Iridium, millions of citizens – unfortunately for our industry – depend on ‘conventional land-based and wireless services for their broadband and telephony.  ESA states that around 2.2 million individuals in the ESA member states and Canada “particularly those in remote or mountainous regions, would be left without internet access . Emergency messaging systems, which rely on satellites to deliver critical information, would not be able to operate, compromising emergency response capabilities. The economic cost in this area is similar to that of aviation, at around €352.7 million.”

There would be another catastrophe in terms of cash supply. Despite more and more payments being made via a Smartphone, millions of us use ATMs regularly. “Cash machines and Point of Sale (POS) terminals in remote locations would not be operational. POS systems are devices used to process payments by card or mobile phone in shops and other venues. Because these systems rely on satellite connectivity in areas without reliable ground connections, their failure would stop physical transactions altogether,” says the report.

The ESA study used London Economics to research the core data. To arrive at these results, the research team reviewed existing data and reports and consulted 48 experts – including satellite operators, connectivity providers, national regulators, academics, and financial institutions. Five sectors were selected for analysis based on their reliance on satellite communications. The degree of dependence of the sector on satellites was categorised as high, medium, low. Using this information, they built an economic model to estimate the loss of economic activity (measured in Gross Value Added) and the loss of connectivity benefits for users. They also assessed wider social impacts, such as the number of households left without connectivity.

These three impact levels (Low, Central and High) are shown on the associated chart, and the numbers are shocking. We know that building in redundancy is a vital element in a system’s design, but the knock-on consequences are even greater than the threats listed.

However, all around us there are strong signs that the industry is building in compensation elements in order to avoid catastrophic consequences.  FCC Commissioner Brendan Carr last week announced significant permissions for today’s satellite operators to raise power levels: “Even though high-speed next-gen satellite services provide essential connectivity across the country already, Americans are now about to see a big upgrade. With today’s decision consumers could see a seven-fold increase in capacity for these high-speed satellite offerings,” said Commissioner Carr.

The FCC decision is good news for operators and consumers. Higher power levels, suitably coordinated between operators, can only benefit everyone and reduce the risks associated with a sector’s collapse.

Filed Under: Government & Regulation, Space Sustainability & Debris Policy Tagged With: Featured

Primary Sidebar

Coverage

  • Missions & Constellations
  • Business & Finance
  • Military & Defense
  • Launch
  • Software Automation & Ground Systems
  • Government & Regulation
  • Services & Applications

Most Read Stories

  • EchoStar Faces Mounting Financial Pressure on Hughes Satellite Unit Amid Corporate Reorganization
  • NASA and ISISPACE Deploy GRITSS CubeSat to Advance Orbital Reference Frame Precision
  • FCC Proposes Opening Unlicensed Bluetooth and Wi-Fi Bands for Space-Based Communications
  • FCC Approves Upper C-Band Order, Allocating $5.6 Billion to SES and $504 Million to Eutelsat
  • Viasat Advances Equatys D2D Joint Venture Toward Initial Constellation Procurement

Secondary Sidebar

Footer

 

Satnews is a leading provider of satellite news, events, publications, research and other satellite industry information in both commercial and military enterprises worldwide.

Stories By Category

  • Business & Finance
  • Government & Regulation
  • Launch
  • Military & Defense
  • Missions & Constellations
  • Services & Applications
  • Software Automation & Ground Systems
  • Spectrum & Licensing
  • Startups & NewSpace Business

About Us

  • Leadership & Editorial Team
  • SatNews History
  • Free Satnews Subscription
  • SatNews Events
  • Magazines

Navigation

  • Latest Stories
  • Magazines
  • Events
  • Contact
  • Cookie & Privacy Policy for Satnews

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.